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India Inc faces a surge in family feuds amid succession planning vacuum

India's corporate boardrooms are increasingly becoming battlegrounds for bitter family feuds, as a growing wave of wealth clashes with a persistent reluctance to formalise succession plans. The latest flashpoint: the sudden death of 53-year-old Sunjay Kapur, chairman of auto parts maker Sona BLW Precision Forgings Ltd, has triggered a dispute within the Kapur family. His mother, Rani Kapur, has opposed the appointment of Priya Sachdev Kapur—Sunjay's wife—to the company's board. Mistrust and informality inflame conflicts "There's often a mismatch between the mindset of ageing patriarchs and the aspirations of the next gen,' said Ketan Dalal, founder of tax advisory firm Catalyst Advisors. 'Add in unequal levels of contribution and commitment among family members, lack of shareholder agreements, and weak governance, and you have a recipe for prolonged conflict.' The Kapurs now join a swelling list of prominent Indian business families entangled in litigation over control, including the Kirloskars, the Baba Kalyani family, and the Chhabrias of Finolex. In September last year, a dispute broke out between Bina Modi, chairperson of Godfrey Phillips India, and her sons Samir and Lalit, who accused their mother of defying their late father's will by resisting a sale of the company. Maran brothers truce, others still warring Earlier this month, the feuding Maran brothers announced a truce mediated by Tamil Nadu Chief Minister M K Stalin, The Hindu reported on July 8. In the past, acrimonious family feuds have hit almost all conglomerates, including the Ambani brothers—India Inc's most prominent family—as well as older industrial families like the Birlas and the Bajajs. The Mumbai-based billionaire Lodha brothers announced a truce in May after fighting over the 'Lodha' brand for months. Legacy structures, modern ambitions collide Experts attribute the growing discord to opaque ownership structures, informal arrangements, weakening patriarchs and delayed planning. 'Most Indian families that have expanded in size and in business complexity haven't invested in formal ownership or succession frameworks,' said Dalal. 'When circumstances change and there's no framework in place, disputes are inevitable.' India's liberalisation boom over the past two decades has created massive shareholder value and produced a more educated and globalised next generation. Yet, many legacy businesses remain mired in cross-holdings, Hindu Undivided Family (HUF) structures, and unclear promoter arrangements—leaving room for conflict. Governance must match growth: experts The cultural aversion to a formal structure compounds the problem. Another under-discussed factor is the role of advisors. 'Families are often reluctant to bring in objective advisors or are wary of those introduced by other members,' Dalal noted. 'The suspicion delays engagement, and critical issues remain unresolved.' Underlying all of this is what Dalal calls the 'illusion of immortality'—a belief that difficult decisions on succession or ownership can always be deferred. 'But too often, 'later' becomes too late.' As India Inc continues to create wealth at scale, the absence of clear succession roadmaps threatens to fracture legacy businesses—unless families embrace governance and structure as seriously as growth, say experts. 'Irrespective of the age, every family or person must have a clear succession plan in place so that their descendants don't get involved in a bitter public fracas, as it ultimately leads to shareholder wealth destruction,' said a CEO, requesting anonymity.